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Factors that influence the Ethereum price

In this article, we are going to discuss the Ethereum price factors, the creation
of the network, the crypto-coin and the concept of smart contracts. We are also
going to focus on explaining the process of buying Ethereum with AUD on a local exchange platform in Australia.

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What is Ethereum?Ethereum is a decentralised, open-source platform operating on the Blockchain
network, which enables programmers to construct decentralised applications.
The apps are created to serve concrete, particular purposes to the users.
They function on a Turing-complete Ethereum Virtual Machine (EVM), which is run
by an international public network of nodes.

The Ethereum network was built on Vitalik Buterin’s concept introduced in his
white-paper in 2013. In his paper, Vitalik Buterin explained that the Blockchain
network itself is more significant than cryptocurrency, and decentralised apps
could change the way we do business online, in more spheres than one. He
envisioned that we could use smart contracts for:

Identity and reputation systems

Token systems

File storage

Financial derivatives

Prediction markets

Centralized autonomous organisations

Cloud computing

Data Feeds

Insurance

Banking

The Ethereum network was created in 2014 through a public crowdsale, where
contributors could buy the Ethereum value token (Ether) with another digital
currency, Bitcoin. Ethereum was founded through a Swiss company, Ethereum
Switzerland GmbH, and later a non-profit foundation, the Ethereum Foundation,
was also created as part of the network.

What is a smart contract?A smart contract is code, plain and simple, but the function of this code is to
execute an order automatically when the predetermined conditions are met. Smart
contracts are a massive success for everyone who runs a business by contractual
compulsions. When every obligation or benefit is calculated and performed by
design according to the prescribed conditions, that means that it will be fair
and unbiased.

Smart contracts managed to do for business something traditional law could never
offer, such as timelines and efficiency without third-party interference. The
future development of Blockchain technology is closely tied to the lack of
manipulation in inter-partes transactions.

“Blockchain solves the problem of manipulation. When I speak about it in the West,
people say they trust Google, Facebook, or their banks. But the rest of the world
doesn’t trust organisations and corporations that much — I mean Africa, India,
Eastern Europe, or Russia. It’s not about the places where people are really
rich. Blockchain’s opportunities are the highest in the countries that haven’t
reached that level yet.”

- Vitalik Buterin, Ethereum Founder

What is Ether?You have to pay somehow for the smart contracts and applications you’re using,
which is why the Ethereum network created its cryptocurrency known as Ether. The
Ether (ETH) is the “gas” on which the decentralised system runs. Ether is
priced and traded on virtual exchanges around the world, and it has the second
biggest market cap after Bitcoin.

How is the Ethereum price formed?Another significant question is how the Ethereum price is formed on the market.
The most obvious answer, at least for the Ether, is the value of the technology
behind it, and the potential it has for further development in the future. People
today tend to invest in projects with technological potential and hop on the
wagon early on. As it was shown with Bitcoin, the earliest investors made huge
profits in the 2017 price boom.

Furthermore, there is the classic dynamic of supply and demand that governs the
market and the price of the Ether. If you are not a risky trader, this investment
might be more suitable for you, because the Ether price is far more stable than
the Bitcoin price on the market.

ETH to AUD

If you are interested in trading Ethereum on the market, you should familiarise
yourself with the trading language. ETH is an abbreviation for Ethereum or the
ticker symbol listed on the exchanges, which helps you identify the prevalent
trading commodities on the platform. If you wish to buy Bitcoin, for example, you should search for the BTC ticker symbol.

Buying ETH with AUD is a prudent way to avoid additional conversion charges and
save money if you are based in Australia and AUD is your local currency.

Local exchanges: Ethereum to AUD

If the goal is to purchase or sell Ethereum with AUD, we should inform you about
the benefits of using a local cryptocurrency exchange.

No conversion fees

Legal protection

Convenience

Accessibility

One of the most important factors is the legal framework. Australia started
drafting laws and policies regarding the cryptocurrency realm, and as an
Australian resident, you are subjected to those laws, and so is the exchange.
You have legal protection when you are trading on an AUSTRAC registered platform,
and that makes the process of buying and selling any crypto-coin easier and
safer.

Use Blockbid to buy Ethereum in Australia

If you decided to buy Ethereum in Australia, you should take a look at Blockbid, a secure online exchange registered with AUSTRAC. Blockbid facilitates the
trading of more crypto-coins on a single platform than any other exchange in the
world, and it features a 0.1 percent fee for fiat currencies (AUD, EUR and USD)
transactions.

Your assets will be safe because deposits are stored in an offline
multi-signature hardware vault, and Blockbid is also one of the first platforms
that are fully covered by cybersecurity insurance. The interface is elegant,
intuitive and beginner friendly. The exchange can perform up to 1 million
transactions per second.

Ethereum to AUD price on the market

Since the writing of this article, the Ethereum to AUD price on the market is
984 AUD. The market cap is 97,684,571,287 AUD, and the current circulating supply
is 99.2 million coins, with total volume exchanges of 2,594,697,712 AUD. The
Ethereum price has a steady growth since it was first introduced to the market.
The value of the Ether (the crypto-coin) is closely tied to the development of
the Ethereum network, and its future perspective.